MRK108 W22 Final Assessment - CASE ONLY Coca-Cola with Coffee comes to Canada The product innovation was first launched in the U.S. last year to reach coffee loyalists looking for an afternoon boost. The hybrid innovation establishes the "refreshment coffee" category with a pioneering proposition that "sips like a Coke and finishes like a coffee"giving on-the-go Coca-Cola fans and java lovers alike a refreshing and reinvigorating reset to their daily routine. Consumers usually have a decision to make during the middle of their work afternoon -- should they get a coffee or a coke. This new offering should help make the decision easier since they can have both in one can. Coca-Cola with Coffee is infused with Brazilian coffee and is available nationally in two flavours, Vanilla, and Dark Blend, containing 49 mg of caffeine (vs 69mg in the US product) per 355 mL can. Coca-Cola with Coffee's U.S. launch last year had an additional flavour profile, caramel, and Zero Sugar that didn't make it to Canada. The company is rolling out a launch campaign that is focused on digital first and fully integrated across all marketing channels. It is targeting consumers through high-reaching display tactics which includes strategic partnerships online, TV and social, as well as through retail agnostic partners like Flipp. Shoppers will also see Coca-Cola with Coffee advertising at point-of-purchase in stores across Canada. According to Coke, Coca-Cola with Coffee is available in nearly 60 other markets around the world - and after its successful launch in the United States - it was time to bring the "innovative product" to Canada. The beverage giant claims that it will "reinvigorate and refresh" Canadians' coffee routines. Coca-Cola with Coffee's initial creation stateside was informed by company insights that more than 50% of CocaCola drinkers and coffee loyalists enjoy both beverages on a regular basis, saying that many consumers are torn between which to consume for an afternoon pick me up. At the time, the company also identified zero sugar as an innovation opportunity, adding two "zero sugar" Vanilla and Dark Blend SKUs, but those also didn't make it north of the border, at least for the initial launch. Product innovation for the on-the-go consumer is a big focus. "We're thrilled to welcome Coca-Cola with Coffee as a permanent addition to the Coca-Cola Trademark portfolio in Canada," said Jacques Blanchet, Coca-Cola Senior IMX Manager, Canada. "We tailored the recipe for this delicious product, which will be produced locally in Toronto, to Canadian consumers' tastes and preferences. We're confident this innovative beverage will delight those who want the best of both worlds that Coke and coffee deliver." Coca-Cola with Coffee is produced locally at the Weston facility in the Toronto area. In 2020, competitor PepsiCo had a kick at the can as well, unveiling its own Pepsi Caf stateside, also positioned to overcome an afternoon slump, as well as to tap the energy beverage space. Typical Energy and canned coffee drinks usually sell for about $3 per can. Coca-Cola with Coffee will be priced at $2 for single cans. Coca-Cola with Coffee with be sold in single cans at gas stations, food service operations and convenience stores and in 4 packs priced at $8.99 at retailers like Walmart and Loblaws. Adapted from: Lombardo, Christopher. "Coca-Cola with Coffee comes to Canada" strategyonline.ca. Brunico Communications Ltd, 22 March 2022. Web. 5 April 2022.

1.What comments in the article show that this product is designed specifically for the Canadian market? What might the Coca-Cola marketing team have done to arrive at this specific product configuration?

2.What type of distribution intensity level should Coca-Cola be looking at? Why? Describe a non-traditional channel that Coca-Cola could use for Coca-Cola with Coffee

3. Product features are more than just the taste or brand. Explain warranty and labelling only as it applies to Coca-Cola with Coffee.

4. What type of pricing tactic is Coca-Cola using in selling single cans and 4-packs? What other pricing tactic would you suggest Coca-Cola use? Explain your reasoning.

5. Coca-Cola can use paid media and earned media. Share two examples of paid media from the article. Outline two types of earned media activity that Coca-Cola should focus on and provide your reasoning.